A government adopts its general fund budget on a cash basis. Appropriations are enacted at the department level of detail. GAAP require the general fund budgetary comparison statement or schedule: A. to be presented using the accrual basis of accounting. B. to be presented using the modified accrual basis of accounting. C. to report at least activity-level detall within the department classification. 0 D. to report at least department-level detall Submit Answers Which of the following statements are true? A. B. C. Governments are permitted, but not required to report accumulated depreciation on general capital assets in the general fund. Governments are permitted, but not required to report depreciation expense on general capital assets in the generat fund. Governments are required to use the modified approach to account for generat capital assets because they are not acquired by entitles that report expenses Governments are required to report general capital assets, net of accumulated depreciation in the government wide financial statements. Submit Answers O D. Sale of a general government capital asset at the end of its useful life (with no constraints on the use of the sale proceeds) affects which of the following accounting entities? O A. Capital projects fund B. Fiduciary (trust) fund C. General fund D. Special revenue fund Submit Answors Select the best answer. Which interfund transactions can result in a decrease in a fund's expenditures? A. Interfund loans B. Intertund services provided and used transactions C. Interfund transfers D. Interfund reimbursements Submit Answers In which of the following transactions will the expense measurement and the expenditure measurement for a year normally be the same? o A. Incurrence and/or payment of employee salaries B. Purchase of equipment @ C. Purchase of furniture D. Retirement of long-term debt principal Submit Answers The City Civic Center Commission (a city agency) charges a fee for use of the civic center. The fees are not intended to cover the predominant portion of the cost of operating the civic center and are not pledged to service any related debt. The civic center: o A. is not permitted to be accounted for in an enterprise fund. is permitted to be accounted for either in an enterprise fund or as a general government activity. c. must be accounted for in an enterprise fund. B. O D. must be accounted for in an internal service fund. Submit Answers Select the best answer. Which of the following general government transactions affect both a governmental fund and one or more account groups? e A. Issuance of a 9 month note B. Levy of property taxes for the fiscal year O C. Purchase of services from outside vendors D. Sale of a capital asset Submit Answers
